Mahindra Outsells Hyundai by 75,000 Cars as Korean Giant Sees Decline in FY26

Mahindra sold 6,60,276 SUVs domestically in FY26 against Hyundai's 5,84,906 units, with Tata Motors' full-year numbers yet to be declared.

01 Apr 2026 | 2423 Views | By Shruti Shiraguppi

Mahindra & Mahindra sold 6,60,276 utility vehicles in the domestic market in FY2025-26, comfortably surpassing Hyundai Motor India's full-year domestic tally of 5,84,906 units and displacing the Korean automaker from the second position in India's passenger vehicle rankings — a slot Hyundai had held for years behind Maruti Suzuki.

The shift marks a structural realignment at the top of India's passenger vehicle market. Mahindra's SUV-only domestic portfolio, which carries no cars or vans, grew 20% year-on-year from 5,51,487 units in FY25. Hyundai, whose domestic range spans a broader portfolio of sedans, hatchbacks and SUVs, saw volumes decline 2.3% from 5,98,666 units in FY25 — a contraction that underlines the widening gap between the two companies.

March 2026 illustrated the divergence. Mahindra sold 60,272 SUVs in the domestic market that month, a 25% year-on-year increase over the 48,048 units sold in March 2025. Hyundai's domestic sales for March 2026 stood at 55,064 units, up 6.3% from 51,820 units a year earlier. The monthly gap — over 5,000 units in Mahindra's favour — mirrors the full-year lead that has now opened up between the two.

According to Nalinikanth Gollagunta, CEO, Automotive Division, M&M Ltd., "The financial year ended on a very positive note, with Mahindra clocking its highest-ever volumes in both SUVs and LCVs (<3.5T) segments, a significant milestone for the company. In March, we achieved SUV sales of 60,272 units, a growth of 25%, and LCV <3.5T sales of 24,928 units, a growth of 11% YoY. Total vehicle sales stood at 99,969 units, a 21% YoY growth."

What drove Mahindra's climb

Mahindra's ascent has been product-driven. Its SUV lineup — anchored by the Scorpio-N, XUV700, Thar and the newer Thar Roxx — has seen sustained demand, with the XUV700 and Scorpio-N in particular carrying long waiting periods through much of FY25 and into FY26. The company has also ridden a market structure that has tilted firmly toward SUVs: the body style now dominates Indian passenger vehicle sales, and Mahindra's portfolio is entirely concentrated there.

Hyundai, by contrast, holds a more diversified portfolio and continues to lead on exports — its FY25 export volume of 1,63,386 units remains the highest among Indian passenger vehicle manufacturers. But export strength has not offset the domestic erosion, and a 2.3% full-year contraction suggests the Korean automaker is losing ground precisely in the segment — SUVs — where the market's growth is concentrated.

Tata's numbers awaited

The full picture of the FY26 passenger vehicle rankings remains incomplete. Tata Motors, the third-largest domestic PV seller in recent years on the back of its EV portfolio and SUV range, is yet to declare its full-year figures. Tata's numbers will determine whether the final FY26 order reads Maruti–Mahindra–Hyundai or whether a closer contest emerges at positions two and three. Given Mahindra's FY26 domestic tally, however, Tata would need to report figures well above 6.6 lakh units to alter the standing.

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